Freight Glossary
DC Bypass
DC bypass is a supply chain strategy where freight moves directly from a manufacturer or supplier to stores or regional delivery points, bypassing the traditional distribution center entirely. It reduces inventory handling steps and can shorten the total supply chain cycle. A beverage brand, for example, might ship pallets from its bottling plant through a cross-dock directly to retail stores without touching the retailer DC.
Why it matters
DC bypass lowers warehousing and handling costs and can dramatically reduce time to shelf. But it requires reliable direct-to-store freight capabilities and close coordination with suppliers to ensure product arrives store-ready. Eliminating the DC leg can remove $2 to $5 per case in handling costs and shave two to four days off the total replenishment cycle.
When to use it
Consider DC bypass for high-velocity products with predictable demand where supplier-to-store transit is feasible, or during DC capacity constraints when bypassing the DC is operationally necessary. DC bypass is especially effective during peak promotional periods when retailer DCs are already at capacity and adding more inbound volume creates bottlenecks.
How Warp thinks about it
Warp's warehouse-to-store and direct-to-store delivery capabilities make DC bypass operationally practical. Pallets move from the supplier through Warp's cross-dock network directly to store destinations. With 50+ cross-docks acting as regional sortation hubs, Warp gives suppliers the infrastructure to bypass retailer DCs without building their own distribution footprint.